Why Should Companies Care About Social Responsibility?
These days, many people want to change the world — including your customers. The way they are doing that is through their purchases. Now more than ever, consumers are aware of what they buy and from whom they buy it. Why should this matter to you?
Don’t worry, though, as it is never too late to start making a difference and creating change. With SCORD, it has never been easier! No matter the size, most companies are actively implementing the newest business strategy of social responsibility. Check out these statistics reported by Forbes and Entrepreneur which demonstrate why you should care about social responsibility as much as the people around you.
87% of consumers say they would buy a product or service based on a company’s social responsibility.
If you care about the world, the world will care about you! Consumers are not just looking for a product or a service anymore. People want a purpose to their purchase. Just as more people are willing to buy a product or service based on social responsibility, 76% of people will walk away from a purchase or change companies based on a lack of social responsibility. If you are ignoring the issues, you are missing out on potential revenue. Americans look for businesses to take part in social justice issues, environmental change, and social causes. Americans are willing to pay more, change their routine, and buy from your competitors. So, what are you ready to do?
Social responsibility increases employee retention by 88%.
Customers may not be the only thing you are losing if you are ignoring social responsibility. Employees are also on the same page; they want to be a part of something that matters. Businesses that conduct yearly charitable events, practice social responsibility, and use sustainable resources are more likely to have dedicated, long-term, loyal employees. One way to do this is to partner with a non-profit. 90% of companies reported that doing so enhanced their brand and company morale. When employees believe in the company they work for, they are six times as likely to stay at that company, work harder, and be twice as productive as an average employee. Which again brings us back to increasing your bottom line!
56% of investors choose socially conscious investments over bottom-line investments.
Investors have the freedom to take their money wherever they please, and like consumers and employees, they don’t only care about making money. They want to make a difference too. From a profit perspective, purpose-driven consumer companies achieved a compounded annual growth rate of 9.85% over five years, compared to 2.4% for the S&P 500 consumer sector. When an investor chooses a socially responsible company, they can make money and make a change. That is worth more than gold these days.
There is no hiding from this movement. People have all the information they could want at their fingertips, starting here at SCORD. You don’t have to be a massive corporation to kickstart change. Just think about it this way: when you become more socially conscious and begin to take steps in the right direction, people will notice. That will lead to more profit, less employee turnover, and increased chances of receiving investment dollars. Continuing your efforts toward social responsibility will create a chain reaction, and you will be a lot happier in the end. Learn how to become a more socially responsible company here.